Austin, TX variant. This is a Austin, TX-specific version of the Rent vs Buy Calculator, using pre-defined local figures (tax rates, median home and income values, and typical regional costs). For the full formula, methodology, and FAQ, open the main Rent vs Buy Calculator.
In Austin, renting costs about $2,100/month while owning the $540,000 median home runs roughly $3,766/month all-in - the gap drives the rent-vs-buy decision.
Rent vs. buy in Austin
Owning includes P&I (≈ $2,731), property tax (≈ $878), and insurance - about $3,766/month before maintenance, versus $2,100 to rent.
Buying wins when you stay long enough to amortize the $108,000 down payment and closing costs, and when appreciation plus equity outpace the rent you'd otherwise pay.
About Austin, TX
Austin residents pay no state or city income tax, as Texas does not levy a personal income tax.
Austin's housing market has grown sharply in recent years, with home prices and rents rising amid rapid population growth.
Austin's economy is anchored by a fast-growing technology sector and its role as the Texas state capital and a major university town.
Worked example: monthly comparison
Own ≈ $3,766/mo vs. rent $2,100/mo - a $1,666 premium to own. Factor in the $108,000 down payment and expected years in the home.
Quick reference
- Median home value: $540,000
- Median rent: $2,100/mo
- Median household income: $89,415
- Local sales tax: 8.25%
- Effective property tax rate: 1.95%
- Cost of living index: 119 (US avg = 100)
Frequently Asked Questions
Is it better to rent or buy in Austin?
Owning runs ≈ $3,766/month vs. $2,100 to rent. Buying favors longer stays that recover the $108,000 down payment and closing costs.
What's the median rent in Austin?
About $2,100 per month.